This year aluminum production in the world may exceed demand, predicts Sumitomo Corp. Japanese trading house.
The surplus may reach 756 thousand tons, compared with a shortage of metal of 1.165 million tons in 2019. At the same time, supplies are expected to grow by 5.3%, including on account of China, as well as manufacturers from South and North Americas.
The increase in demand is estimated at 2.3%. The surplus in the global aluminum market may persist at least until 2023, experts say. The U.S.-China trade war reduced global metal consumption by 0.3% In 2019, the first decline in 30 years.
Sumitomo predicts average aluminum prices in 2020 in the range of $ 1,700 to $ 1,800 per ton, according to Bloomberg